12South: This neighborhood south of downtown Nashville has emerged as a culinary hot spot with more than a dozen restaurants, including the Burger Up here May 20, 2010.
Larry McCormack / The Tennessean

12South: The 12South and Melrose districts are booming, and a lot of the growth is from people who are moving back into the cities from the suburbs. Hunter Yeager, here Dec. 20, 2010, bought into the neighborhood after living in Williamson County.
John Partipilo / The Tennessean

Antioch: Former Army Officer Jackie Munn cuts a piece of siding as she works with The Mission Continues and Habitat for Humanity on several homes in Antioch on Nov. 1, 2015.
Samuel M. Simpkins / The Tennessean

Antioch: At the Cottages at Mt. View in Antioch, every home is for lease, here Sept. 17, 2017. There are currently 205 houses, and an additional 48 are expected to be finished by the end of the year.
Alan Poizner / For The Tennessea

Belle Meade: Belle Meade Court condo owner Antoinette Licalsi bought her condo as an investment but will use it as her retirement condo very soon as she stands by the condo pool area Sept. 25, 2012.
Sanford Myers / The Tennessean

Bordeaux: The drawbridge, a 1903 structure here near downtown Nashville, uses a gear mechanism in the river's center to turn its span so high cabin towboats using the Cumberland River can pass.
Larry McCormack / The Tennessean

Donelson: A rainy spring and summer have provided a surge in fruits and vegetables being brought to area farmers markets, such as this one in Donelson on July 26, 2013.
Larry McCormack / The Tennessean

Members of the Nashville Swing Dance Foundation perform during a previousTomato Art Festival at Historic East Nashville's Five Points. The Tomato Art Festival features a parade, a costume contest, games and live music.
Jae S. Lee / The Tennessean

East Nashville: First Baptist Church East Nashville, here July 16, 2017, is in a time of transition because the neighborhood has changed. Next door is a high-rise apartment building, and behind is Section 8 housing.
Larry McCormack / The Tennessean

East Nashville: Construction crews work on a pair of homes in East Nashville on Sept. 21, 2017. Two "tall skinny" homes can be built on one lot when they are 6 feet apart, among other conditions.
Shelley Mays / The Tennessean

Germantown: Elmer Denvel Irwin sits outside his East Nashville establishment, Santa's Pub, on Dec. 16, 2015. Santa's Pub was built from an old train caboose and shipping containers.
Mark Zaleski / For The Tennessean

Hillsboro-Belmont: H.G. Hill Realty Co. is redeveloping the property at 21st Avenue South and Acklen Avenue in Hillsboro Village, here April 30, 2013, to make way for the Hill Center Acklen, an apartment and retail complex.
Mark Zaleski / The Tennessean

Hillsboro-Belmont: A name of the new building is unveiled on the Belmont University campus Aug. 22, 2015. The R. Milton and Denice Johnson Center is the new home for the Curb College of Entertainment and Music Business.
Jae S. Lee / The Tennessean

Hillsboro-Belmont: Nashville artist Andee Rudloff finishes a new coat of paint on the dragon mural in Hillsboro Village on Nov. 4, 2015. The mural was first painted 20 years ago as a directional marker to Dragon Park.
Shelley Mays / The Tennessean

Madison: The new Madison Precinct building and crime lab was named for Officer Paul Scurry, who was killed in the line of duty in 1996. It officially opened on Jan. 14, 2014.
Larry McCormack / The Tennessean

Madison: Brian Oxley stands next to the outside gate of the former home of Elvis Presley's manager Col. Tom Parker on Feb. 1, 2017, in Madison. The home was sold and developers are planning to build a car wash in its place.
Lacy Atkins / The Tennessean

Midtown: Audrey McKnight, left, and Lindsey McKnight swap out the breakfast pastries for the all-day pastries June 19, 2017, at Caviar & Bananas, a new gourmet cafe and market.
Josie Norris / The Tennessean

South Nashville: Businesses prosper along Nolensville Road, here May 24, 2017. Ethiopian restaurants, trendy cafes, auto repair shops, Mexican taquerias, a Kurdish mosque and the Nashville Zoo are all part of the area, which has been affordable for business owners and residents for years.
George Walker IV / The Tennessean

West Nashville: Businesses along the north side of Charlotte Pike, between about 47th Avenue North and 51st Avenue North, here Feb. 11, 2008, will take part in the creating of a detailed neighborhood design plan by Metro Planning. The plan will enhance the Charlotte Avenue and Richland Park corridor.
Billy Kingsley / The Tennessean

Summertime is typically the most expensive season to purchase homes, and this year is no exception.

Buyers paid an average of $320,000 for a house in June, according to a RE/MAX analysis of Multiple Listing Service data. That price is $15,000 more than the average listed sale in May 2018 and $20,000 more than the average in June 2017.

Sales also jumped from 3,130 homes in June compared to 2,904 in May, according to the RE/MAX analysis.

Prices are higher in the summer because it is the preferred time to move for families, said Frank Nothaft, chief economist of CoreLogic, which specializes in real-estate data analysis.

"That reflects when families prefer to move outside the academic school year," Nothaft said. "Homes that tend to sell during late spring and summer tend to be a bit larger with more amenities."

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Nashville's neighborhoods are changing as new owners move in
Larry McCormack / The Tennessean

The tight housing supply also pushed up prices. The greater Nashville region had a supply of 1.6 months in June — meaning that the housing supply would completely dry up in less than two months if nothing new was put on the market. A supply of six months is considered healthy.

A CoreLogic analysis found that Nashville home prices increased 7.5 percent compared to 7.1 percent nationally, from May 2017 to May 2018.

"The inventory of homes listed on the market for sale continues to be relatively lean," Nothaft said. "The Nashville economy is doing relatively well, and that's supporting demand. Millennials are looking to transition into first-time home ownership, with the unemployment rate having come down sharply. They're feeling much more financially secure."

Rising mortgage rates, which have increased a percentage point since last year, are ballooning the cost of monthly mortgage rates.

Nothaft said he expects mortgage rates to continue to rise into 2019.

"While mortgage rates are still relatively low, their increase translates to a 15 to 20 percent cost in monthly mortgage payments (over last year)," Nothaft said. "Typical wages are generally not rising 15 to 20 percent. That's where the unaffordability pinch takes a bigger bite. The local labor market is doing well and wages are beginning to rise. But not that quickly."

Reporter Sandy Mazza can be reached at 615-726-5962 or by email at smazza@tennessean.com. Follow her on Twitter @SandyMazza.​​